U.S. President Joe Biden has praised Kia for the Korean automaker’s decision to produce its all-electric EV9 SUV in Georgia, calling it "ground zero" for the city’s transition to green economy.

"Kia’s decision to build the EV9 in Georgia is another sign the state is ‘ground zero for building a clean energy economy and building industries of the future," Biden said in a statement on April 9.

The White House spoke highly of the decision, as it can contribute a lot to creating more quality jobs and promoting private investments there.

"Our investments in America are creating good-paying jobs, unleashing private sector investments, and producing products Made in Georgia and Made in America," the statement said.

Earlier, Kia announced its plans to launch the flagship electric SUV sometime in the latter half of this year and start its production in the U.S. city in 2024. The EV9 will be Kia’s first EV manufactured in North America.

The move is seen as part of Kia’s strategic decision to diversify its production base abroad for more tax incentives. The U.S. Inflation Reduction Act (IRA), which took effect on August 2022, includes a consumer tax benefit of up to $7,500 for purchasing EVs assembled in North America.

Under updated IRA guidance, which will go into effect on April 18, a tax credit of $3,750 is provided for EVs when at least 40 percent of battery critical minerals is sourced from the U.S. or its FTA partners. The remaining $3,750 tax credit is also offered when more than 50 percent of battery components comes from the U.S. or the country’s FTA partners.

Kia’s first EV production in the U.S. is also expected to help the automaker enhance its corporate image there.

"We created the EV9 by combining our expertise and know-how in the production of EVs and SUVs," Yoon Seung-kyu, executive vice president at Kia North America, said. “We will present a new standard for the large EV with features that satisfies customers in North America."

The all-new Kia EV9 electric SUV is built on the Electric Global Modular Platform (E-GMP). The vehicle is equipped with state-of-the-art Highway Driving Pilot system and a 99.8kWh large-capacity battery. It also support wireless software updates. Kia aims to win certification of the vehicle’s driving distance of more than 500 kilometers on a single charge under the Korean standard. The EV9 is also inspired by Kia’s brand design philosophy of “Opposites United.”